Frequently Asked Questions

Are you eligible to open a Dependent Care FSA? What are your savings options? Are your dependents’ healthcare expenses covered? Find answers to all your questions about your WageWorks® Dependent Care FSA.

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What is a Dependent Care FSA?

A Dependent Care Flexible Spending Account, or “FSA,” is a pre-tax benefit account used to pay for dependent care services while you are at work. The money you contribute to a Dependent Care FSA is not subject to payroll taxes, so you end up paying less in taxes and taking home more of your paycheck. Under this type of account, a “dependent “ is a child under 13 years of age (until the day of their 13th birthday) and adult dependents who can't take care of themselves. Please keep in mind that they must live with you and be claimed as dependents on your tax return. Please review the eligible expense list [list] to see what's covered under your Dependent Care FSA.

What is a "work-related" expense?

Your Dependent Care FSA expenses need to be "work-related." This means that the expenses must be incurred while you (or your spouse) are working or looking for work. For example, if both you and your spouse work full time and you pay for after-school care for your kids, that is an eligible "work-related" expense. Please note: unpaid and nominal paid volunteer work do not qualify as "work."

What kinds of expenses are covered by a Dependent Care FSA?

All kinds! A Dependent Care FSA covers a wide variety of dependent care services, such as preschool, summer day camp, before- and after-school programs, and child or elder daycare. Here's a handy list of eligible expenses to review, download, or print out for future reference. Please keep in mind that IRS rules determine which expenses are eligible.

How is a Dependent Care FSA funded?

Your Dependent Care FSA is funded through Kforce. During Kforce’s open enrollment period, you determine how much you would like to contribute to your account for the coming year. The maximum amount you can contribute is determined by the IRS. For 2018, it is $5,000. Kforce then deducts your contribution amount (in equal portions) from your paychecks throughout the plan year.

How do I use my Dependent Care FSA funds?

There two ways you can use the funds in your Dependent Care FSA:

Pay My Provider. You can arrange to have your dependent care provider paid directly.
Pay Me Back: You can be reimbursed for eligible dependent care expenses you pay out of pocket.

What if my claim amount is greater than the balance in my Dependent Care FSA?

You will be reimbursed up to your account's current balance. The rest of your claim will be held until your account is funded. Then you will be reimbursed for the remainder of your claim.

Will I be able to use the full amount I've elected to contribute to my Dependent Care FSA on the first day of my plan year?

Sorry, you can't access the full amount of your Dependent Care FSA at the beginning of the plan year. Funds need to build up in your account before you may use them.

What if my spouse has a Dependent Care FSA, too?

If your spouse has a Dependent Care FSA, you may each contribute up to $2,500 into your respective accounts. The annual Dependent Care FSA contribution limit for married couples who file their taxes jointly is $5,000. Please keep in mind that you can't "double-dip" expenses, which means that expenses reimbursed under your Dependent Care FSA can't be reimbursed under your spouse's Dependent Care FSA and vice versa.

Who qualifies as a dependent under a Dependent Care FSA?

The following people qualify as "dependents" under your Dependent Care FSA:

A child under the age of 13 who resides with you and for whom you are entitled to a personal tax exemption as a dependent. Keep in mind that if you are divorced, the child is a qualifying individual with respect to you if the child lives with you even if you have permitted the noncustodial parent to take the exemption.

A spouse, parents, or other tax-dependent adults who reside with you and who are physically or mentally incapable of self-care.
Learn more about eligible dependents.

Can I change my election amount after Open Enrollment or during the benefit year?

You can only change your election amount outside of Open Enrollment if you meet one of the special circumstances set by the IRS.

Examples of special circumstances include:

A change in marital status (such as marriage, divorce or death of your spouse)

A change in the number of your dependents (such as the birth or adoption of a child, or death of a dependent)

A change in employment status of you, your spouse or dependent

An event that causes your dependent to satisfy or cease to satisfy an eligibility requirement for a particular benefit

A change in residence of you, your spouse or dependent

A change in cost in coverage

If you believe you qualify for a change of your election, please contact Kforce.

What happens to the funds in my Dependent Care FSA at the end of the plan year?

Sorry, any money left in your Dependent Care FSA at the end of the plan year is forfeited to your employer per IRS regulations, so please plan your contributions and expenditures carefully. Use this savings calculator to help guide your contribution planning.

Do my Dependent Care FSA contributions continue while I am on a leave of absence?

No, your contributions will stop if you take any type of leave of absence. Your Dependent Care FSA is intended to help you pay for eligible dependent care expenses to allow you to work. Therefore, you cannot be reimbursed for expenses incurred while you are on a leave of absence from work.

Sorry, a Dependent Care FSA covers only dependent care expenses, such as before- or after-school programs for children or elder day care for dependent adults, so you can continue to work. It does not cover healthcare expenses. If you’re interested in covering healthcare expenses for your dependents, you should enroll in a Healthcare FSA.

What happens to the funds in my Dependent Care FSA when I leave my employer?

You have until the end of the month of your termination to spend down the funds and have 90 days to submit any of your claims. After that your funds are forfeited back to Kforce.

How do I submit a receipt for reimbursement under my Dependent Care FSA?

The easiest way to submit a receipt is to use the WageWorks® EZ Receipts® mobile app. With this handy app, you can use your mobile device to take and store photos of your receipts and submit them for reimbursement. You can even have your dependent care provider sign receipts using your mobile device. You can also submit digital copies of receipts by logging into your WageWorks account.

Is a Dependent Care FSA for healthcare for my kids?

No. Although both are Flexible Spending Accounts, a Healthcare FSA is very different from a Dependent Care FSA. A Healthcare FSA is to help you pay for healthcare expenses for you and your dependents. A Dependent Care FSA is to help you pay for childcare and elder care expenses so you can continue to work.

Additional Questions?

If you have additional questions regarding your benefits, please contact the Customer Solutions Center at 866-807-5074.